The second-largest U.S. toymaker also said Monday that it is starting a $625 million share buyback program.

Shares rose 55 cents to $40.40 after earlier reaching a 52-week high of $40.77.

Both Hasbro and Mattel Inc., the largest U.S. toy maker, reported strong first quarters, indicating parents are beginning to spend more on their children as fears about jobs and the economy ease. Toys are usually one of the first categories to recover after an economic downturn because many parents spend on their children before themselves.

Hasbro's profit climbed to $58.9 million, or 40 cents per share, in the three months ended March 28. That's up from $19.7 million, or 14 cents per share a year ago.

Other brands with higher revenue included Baby Alive dolls, Play-Doh, Tonka, Furreal Friends plush toys and Super Soaker water guns. Iron Man toys also sold well and could get a further boost from the May 7 opening of "Iron Man 2." .

He added that in the second quarter, results might be weaker this quarter compared with the same period last year, when shipments of toys tied to "Transformers: Revenge of the Fallen" and "G.I. Joe: The Rise of Cobra" were in stores.

However, he said that the company expects higher profit and revenue for the full year 2010.

U.S. and Canada revenue rose 5 percent to $424.7 million, while international revenue rose 17 percent to $221.7 million.

Traditional toy makers face tough competition as children increasingly reach for electronics such as the iPod and video games for entertainment. Hasbro, based in Pawtucket, R.I., has countered that by developing electronic versions of its classic games such as Scrabble and Monopoly.

The company is also a partner with Discovery Communications in new children's television network, "The Hub," launching Oct. 10.

The network already has 317 hours of television programming in development and production, Goldner said.

Hasbro has also found success with movie tie-ins. Looking forward, Hasbro expects strong sales from toys tied to "Transformers 3," to open July 1, 2011, and "Stretch Armstrong," scheduled for summer 2012.